December 20, 2006

Users love Ajax because Ajax apps load fast. Web services is now synonymous with AJAX. Ajax means faster development times, easier app development, but also commoditization of software developers. This is another sign of how the Internet and software development is getting commoditized by outsourced labor and better developers tools. Web 2.0 VCs and entrepreneurs now need to think about companies as creators of services rather than software packages.

Over 40% of developers working on Service Oriented Architectures (SOA) can now complete a typical SOA development effort within 3 months – more than twice as many as a year ago – according to results in the new Evans Data Corporation’s 2006 Web Services Development Survey to be released December 22. Additionally, over 60% of all SOA projects are completed within just 6 months.

In other findings from the December 2006 survey of over 400 Web Service developers:

* Half of developers working on Web Services are currently using AJAX or plan to do so over the coming 12 months. This is up from 45% six months ago.

* Determining return on investment for SOA is considered the number-one challenge to SOA development and deployment efforts, followed by getting organizational buy-in.

* In three years, two out of three SOA developers will be running the majority of their applications in managed code.

Faster cycle times means that technology no longer is a competitive advantage. As an entrepreneur building a product or VC investing in technology companies, it's time to throw out the outdated mode of thinking that technology creates a barrier to entry and create a new business plan, one that can't be replicated in 3 months.